NISM Series 6 Depository Operations: Previous Year Questions with Detailed Solutions

If you’re preparing for the NISM Series 6 Depository Operations exam, you’ll want to master the past‑paper pattern and understand how to tackle each type of question. This guide walks you through key previous‑year questions, offers step‑by‑step solutions, and shares actionable study tactics to boost your confidence.

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Why Focus on Past‑Year Questions?

• Pattern Recognition: Spot recurring themes and question formats.
• Time Management: Practice solving questions under exam‑like time constraints.
• Gap Analysis: Identify weak topics early and allocate revision time accordingly.

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NISM Series 6 Exam Overview

Feature	Details
Exam Code	NISM‑Series‑6
Duration	2 hours
Maximum Marks	100
Question Types	40 multiple‑choice questions (single correct answer)
Syllabus Weightage	40% Depository Operations, 30% Investment Products, 20% Regulatory Framework, 10% Ethics & Professional Conduct

Tip: The exam is heavily weighted on Depository Operations – focus 40% of your study hours here.

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Popular Search Queries & How We Answer Them

1. What are the core topics of NISM Series 6 Depository Operations?

• Depository Services: KYC, account opening, demat, and settlement.
• Transaction Mechanics: T+2 settlement, T+5 post‑settlement, de‑merging, and re‑merging.
• Regulatory Bodies: SEBI, RBI, NSDL, CDSL, and their mandates.
• Risk Management: Counter‑party risk, operational risk, and fraud prevention.

2. How many questions are usually from Depository Operations?

• Typical Split: 15–20 questions (≈37.5‑50%) focus on Depository Operations.
• Strategy: Answer these first; they often carry higher marks for the same effort.

3. Can you provide a sample previous‑year question with solution?

Question (2023): Which of the following statements about the T+2 settlement cycle is correct?
a) Settlement is completed on the same day.
b) Settlement must be cleared within 48 hours.
c) Settlement is completed by the third business day after trade.
d) Settlement can be extended to T+3 if both parties agree.

Answer: c) Settlement is completed by the third business day after trade.

Solution: Under SEBI regulations, the T+2 settlement implies settlement on the second business day after the trade date, but the settlement is actually completed by the third business day (T+3). Options a, b, and d are incorrect.

Actionable Tip: Create a flashcard that lists all settlement cycle rules; quiz yourself until the dates stick.

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Detailed Solutions to Common Past‑Year Questions

#	Question	Key Concept	Correct Answer	Explanation
1	Which entity is responsible for maintaining the master register of security holdings?	Depository System	b) CDSL	CDSL maintains a master register of all demat holdings; NSDL maintains a separate register.
2	What does the term “T+5” refer to in the context of demat transactions?	Settlement Timing	c) Settlement of the transaction is completed on the fifth business day	T+5 refers to the settlement date being the fifth business day after the trade.
3	Which regulation governs the de‑merging and re‑merging of securities?	Regulatory Framework	a) SEBI (Depository Operations) Regulations, 2018	The SEBI regulations specify the process for de‑merging and re‑merging.
4	What is the primary risk mitigated by the KYC process in Depository Operations?	Risk Management	b) Counter‑party risk	KYC ensures the identity of the account holder to prevent fraudulent claims.
5	Which of the following best describes a “demat account”?	Basic Definition	d) An account that holds securities in electronic form	Demat accounts store securities electronically.

Practice Tip: Re‑write each solution in your own words. Teaching the concept to an imaginary peer is a powerful memory aid.

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Study Plan: 4‑Week Sprint for NISM Series 6

Week	Focus	Activities
1	Syllabus Deep Dive	Read each syllabus section, highlight key terms, create summary notes
2	Past Papers & Mock Tests	Solve two full previous‑year papers; time yourself
3	Weak Areas & Revision	Review errors, watch video explanations, practice related flashcards
4	Final Mock & Self‑Assessment	Take a timed mock, analyze results, refine strategy

Pro Tip: Use spaced repetition software (Anki) to review flashcards daily. Consistency beats cramming.

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Frequently Asked Questions

1. What is the most important topic in NISM Series 6?
   The Depository Operations section is the highest weightage; mastering KYC, settlement cycles, and de‑merging rules is crucial.

2. How many previous‑year questions should I solve?
   Aim for at least 5–7 papers covering 2019–2023. Focus on those with the highest question overlap.

3. Can I skip the Ethics section?
   No. Even though it’s only 10% weightage, a wrong answer can cost you marks. Read the SEBI Code of Conduct guidelines.

4. What is the best way to memorize settlement timelines?
   Create a mnemonic: “T+2 = Trade + 2 days, settlement on the third day.” Visual charts help.

5. Is there a recommended study app?
   The official NISM app offers question banks and mock tests. Supplement with a quality third‑party app like Fractal or Udemy’s NISM Series 6 course.

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Take the Next Step

Now that you have a clear roadmap, it’s time to put theory into practice. Download a full past‑year paper, set a timer, and tackle the questions as if you’re in the exam hall. Consistent practice with mock tests will sharpen your speed, accuracy, and confidence.

Ready to ace NISM Series 6? Grab a mock test today, track your progress, and watch your scores climb!

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